The LLB Group has terminated Liechtensteinische Landesbank (Switzerland)s banking activities effective as of the end of 2013, as announced in March 2013.
The sale of the Lugano branch to PKB Privatbank SA has also been completed. The Geneva and Erlenbach locations will now be run as representative offices of LLB AG, Vaduz.
Roland Matt, Group CEO, LLB, said: "The closure of LLB (Switzerland) Ltd. and the sale of the Lugano branch mark important milestones in the implementation of our Focus2015 strategy. The successful completion of these complex strategic initiatives underscores the consistency of the LLB Group’s focus on and orientation towards clearly defined markets and client segments."
Banking activities terminated
In March 2013, the LLB Group announced that it was closing its Swiss banking subsidiary LLB (Switzerland) Ltd. in the context of the new strategy and economic considerations. Following intensive preparations over the past few months, LLB (Switzerland) Ltd. terminated its banking activities effective as of the end of 2013.
A successor company, LLB Verwaltung (Schweiz) AG, was founded which is responsible for the final settlement, subject to supervision by the Swiss Financial Market Supervisory Authority FINMA. The premises at the Stampfenbachstrasse in Zurich were sold.
Lugano sale completed
The sale of the Lugano branch to PKB Privatbank SA was also completed effective as of the end of 2013. With this, a significant part of LLB (Switzerland) Ltd.’s business volume of about CHF 2 billion, as well as all 26 employees, will transfer to PKB.
In total, the closure of LLB (Switzerland) Ltd. together with the sale of the Lugano branch lead to a net new money outflow of approximately CHF 2.5 billion in 2013, as expected. The Geneva and Erlenbach locations will now be run as representative offices of LLB Ltd., Vaduz, focusing on clients from the Central and Eastern European markets.